“My husband has prepared our estate planning documents using downloaded forms from the internet. He now has dementia, and may need to go into a nursing home. Can you help us apply for Medi-Cal and protect our home and other assets?” This is an actual case, and the documents are a mess. The documents will not allow us to protect the home and other assets and qualify for Medi-Cal for the husband without going to court with a petition to reform the documents. A court petition of course is much more expensive than the attorney fee required for the preparation of proper estate planning documents with the correct asset protection and government planning language and provisions.
I have received calls like this one many times over the past 30 + years I have been in practice, and they are usually are not good news. It would seem simple enough to download documents like trusts, wills and financial durable powers of attorney, and just fill in the blanks. Many people also think that it would be safe enough to have a document preparation service prepare your estate planning documents. I have seen many documents from preparation services over the years that have created more difficulties than not having them at all. I remember being in court one time, waiting for my case to be called, listening to an attorney and the judge discuss the problems created by such a trust. I remember the judge saying out loud in open court something like, “The decedent and family would have been better off had they done nothing, as opposed to coming up with this trust.” I have also heard people comment that isn’t most of this “boiler plate any way?” Boiler plate means pre-printed language in pre-printed forms that is used over and over with little or no alteration, and that ‘one size fits all.’ You may not want that!
Estate planning for Baby Boomers and older clients is somewhat sophisticated when it comes to planning for the future for our care and for asset protection. There are established techniques that are recognized under California Law to allow our clients to get their ducks in a row for qualification for Medi-Cal, which pays for skilled nursing facilities, and for asset protection for the surviving spouses and ultimately the children beneficiaries. These techniques can also be used for qualification for the VA Aid and Attendance Pension Benefit. The goal is to lock in the special powers while the clients still have good mental capacity in the long term care plan. Thereafter we implement the plan when needed, and if a party has lost mental capacity, we can still follow through with the plan.
This information is not to be taken as legal advice, and you are encouraged to see your elder law attorney. At the Law Offices of Michael J. Young, at 1931 San Miguel Dr., Ste. 220, Walnut Creek, CA www.WalnutCreekElderLaw, 925-256-0298, lawyoung1@gmail.com we practice Elder Law and we help Baby Boomers and families through the Elder Care Journey. We help families with long-term care planning, asset-protection plans, comprehensive estate planning, wills, trusts and powers of attorney. We also help Baby Boomers and families get their “Ducks in a Row” in order help them qualify for Medi-Cal and the VA Aid & Attendance Improved Pension benefit.